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Companies
Introduction
To participate in ALAS20, organizations (both companies and institutional investors) and professionals must be nominated in the voting process administered by GovernArt in Brazil, Chile, Colombia, Peru and Mexico, through the perception study on sustainability, corporate governance, and responsible investment.
Dates of the Voting Process
The voting process is carried out on the following dates:
March 6, 2017: Voting starts
April 5, 2017: Voting closes
The voting takes place online, in the HOME section of www.alas20.com, on the GovernArt website www.governart.com , as well as on the websites of ALAS20´s Partners and Sponsors.
Once the voting process is completed, the validation process begins.
On April 24, 2017, the names of the organizations and professionals that have obtained the 10 highest votes in each of the categories in Brazil, Chile, Colombia, Peru and Mexico are published in www.alas20.com.
About the Voting Process for Companies
Through an invitation made by GovernArt in each country, it is possible to vote for the best companies in sustainability, corporate governance, and investor relations, as well as the best CEOs and Board Members of Leading Companies in sustainability.
In this survey, there are invited to vote on corporate governance, sustainability and investor relations, company leaders, finance managers, CEOs, and other members of companies with a stock market presence, family businesses, non listed companies, state owns companies, and other types of organizations. There are also invited to vote sell side and buy side financial analysts, investment managers, study managers, CEOs, and other members of Assett Management institutions, Investment Managers, Pension Funds Managers, General Funds Managers, Investment Funds Managers, Family Offices, and other Institutional Investors.
They vote for leading companies and professionals in the following categories:
COMPANIES:
Corporate Categories
• Leading Company in Sustainability
• Leading Company in Corporate Governance
• Leading Company in Investor Relations
Individual Categories
• CEO of Leading Company in Sustainability
• Board Member of Leading Company in Sustainability
Deployment of companies names in the voting process
Brazil
In the case of Brazil, the list with the name of the companies and professionals that is automatically deployed to be chosen from by the voters corresponds to all those companies that are part of the BOVESPA index.
BOVESPA is a stock index that is composed of more than 50 companies that are listed on the São Paulo Stock Exchange. The index consists of the companies that represent 80% of the volume traded in the last 12 months and which were traded at least 80% of the trading days. It is reviewed on a quarterly basis, in order to maintain the degree of representation of all the shares traded in the market.
Considering that the re-composition of this index is made on a quarterly basis, the list of companies to be taken into account will be the one valid on March 3, 2017, the business day immediately prior to the beginning of the voting process.
In addition, all voters have a space to type directly the name of their preference in the “others” blank field, for example, they can enter the name of a company or professional that does not appear in the list displayed automatically. In the case of typing the name of a company, the only requirement is that it is a listed company and traded on the stock exchange in Brazil. In the case of entering the name of a person, the only requirement is that this person is a professional working in a company based in Brazil.
Chile
In the case of Chile, the list with the name of the companies and professionals that is automatically deployed so that it can be chosen from by the voters corresponds to all those companies that are part of the IPSA index.
The portfolio of the IPSA index consists of the 40 stocks with the highest amounts traded daily averages (MTPD) on the Santiago Stock Exchange, which have a market capitalization of more than US $ 200,000,000 and a free float factor of not less than 5 % at the time of portfolio selection. If there is more than one series of the same issuer that may belong to the index, the series with the largest amount traded is considered.
Considering that the re-composition of this index made in 2017, the list of companies to be taken into account will be the one valid on March 3, 2017, the business day immediately prior to the start of the voting process.
In addition, all voters have a space to type directly the name of their preference in the “others” blank field, for example, they can enter the name of a company or professional that does not appear in the list displayed automatically. In the case of typing the name of a company, the only requirement is that it is a listed company and traded on the stock exchange in Chile. In the case of entering the name of a person, the only requirement is that this person is a professional working in a company based in Chile.
Colombia
In the case of Colombia, the list with the name of the companies and professionals that is automatically deployed so that it can be chosen from by the voters corresponds to all those that are part of the COLCAP index.
The COLCAP is made up of the 20 most liquid shares of the Colombian Stock Exchange, where the value of the adjusted market capitalization of each company determines its share in the index. If any action recorded in the basket disappears, it will remain with less than 20 emitters. In addition, the maximum participation that an issuer can have within the basket is 20%. If any issuer exceeds this limit, its participation is adjusted to 20% and the surplus is distributed proportionally among the other issuers of the basket.
Considering that the re-composition of this index made in 2017, the list of companies to be taken into account will be the one valid on March 3, 2017, the business day immediately prior to the start of the voting process.
In addition, all voters have a space to type directly the name of their preference in the “others” blank field, for example, they can enter the name of a company or professional that does not appear in the list displayed automatically. In the case of typing the name of a company, the only requirement is that it is a listed company and traded on the stock exchange in Colombia. In the case of entering the name of a person, the only requirement is that this person is a professional working in a company based in Colombia.
Peru
In the case of Peru, the list with the name of the companies and professionals that is automatically deployed to be chosen from by the voters corresponds to all those that are part of the S & P / BVL General Peru Index, which replaced the IGBVL, General Index of the Stock Exchange of Lima.
S & P / BVL Peru General is the benchmark of the peruvian market, reflecting the average trend of the main shares traded on the Lima Stock Exchange.
Considering that the re-composition of this index made in 2017, the list of companies to be taken into account will be the one valid on March 3, 2017, the business day immediately prior to the start of the voting process.
In addition, all voters have a space to type directly the name of their preference in the “others” blank field, for example, they can enter the name of a company or professional that does not appear in the list displayed automatically. In the case of typing the name of a company, the only requirement is that it is a listed company and traded on the stock exchange in Peru. In the case of entering the name of a person, the only requirement is that this person is a professional working in a company based in Peru.
Mexico
In the case of Mexico, the list of companies that is automatically deployed so that it can be chosen from by the voters corresponds to all those companies and professionals of companies that are part of the IPC, Index of Prices and Quotations of Mexico.
The IPC is the main stock index of the Mexican Stock Exchange (BMV), and expresses the performance that this market can have, taking as a reference the price variation of a sample of all the stocks traded on the stock exchange. It is prepared daily by the BMV based on the results of the daily session, for which it takes as reference the 35 main traders of the different sectors of the economy. It is calculated based on the price variations of a stock selection, called sample, which is balanced, weighted and representative of all the shares quoted in the BMV. Due to the re-composition of the index daily, in ALAS20 year 2017, the list will be taken into account on March 3, 2017, the business day immediately prior to the start of the voting process.
In addition, all voters have a space to type directly the name of their preference in the “others” blank field, for example, they can enter the name of a company or professional that does not appear in the list displayed automatically. In the case of typing the name of a company, the only requirement is that it is a listed company and traded on the stock exchange in Mexico. In the case of entering the name of a person, the only requirement is that this person is a professional working in a company based in Mexico.
Voting Results
The results of this vote allows to identify the 10 companies and professionals with the most votes in each category. These are the ALAS20´s Nominees.
Then, a Technical Evaluation ran by VIGEO EIRIS, an extra-financial risk rating agency, analyzes the background of the Nominated companies regarding their sustainability practices, according to their respective categories.
Finally, the background of the Technical Evaluation is given to ALAS20´s Jury in each country, made up of national experts and international specialists, who decide the organizations and professionals selected in each category.